Qazzaz CoffeeFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A Qazzaz Coffee franchise requires a total initial investment of $183K – $325K, including a $40K franchise fee and an ongoing 6.0% royalty[2]. The 2025 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: B. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $183K – $325K
- 26th pct Service Resta…
- Avg gross sales
- N/A
- 59th pct Service Resta…
- Royalty
- 6.0%
- 44th pct Service Resta…
- Units
- 1
- 3rd pct Service Resta…
- SBA default
- N/A
Quick verdict · Quick-Service Restaurants · color = vs category peers
Green = >15% above Quick-Service Restaurants avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Started franchising in 2025. Newer systems carry more uncertainty but may offer better territories.
Bottom line
- Total investment $183K – $325K including a $40K franchise fee, 6.0% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict B (Above Average) with a risk score of 57/100.
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Qazzaz Coffee Franchise Inc
- Ultimate parent
- None
- CEO title
- CEO
- Mohammad Qazzaz
- CEO experience
- 16 yrs
- Years in role or industry
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- MI
- HQ
- 5410 Allen Road, Allen Park, MI 48101
- Auditor
- Smith, Buzzi & Associates, LLC
- Audited financials
Overview
About
Franchisees operate a specialty coffee retail location, likely serving espresso-based beverages, specialty drinks, and light food items. Daily operations include inventory management, barista staffing, customer service, and compliance with brand standards. Revenue generation relies on foot traffic, product quality, and local market conditions.
- CEO
- Mohammad Qazzaz
- Headquarters
- MI
- Founded
- 2025
- FDD year
- 2025
- States available
- 1
FDD Item 7 · 2025 filing · 14 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $40K | $40K | |
| Training (Transportation and Lodging) | $3K | $5K | |
| Rent, Prepaids and Security Deposit (3 months) | $15K | $23K | |
| Construction of Leasehold Improvements | $25K | $125K | |
| Furniture, Fixtures, and Decor | $14K | $18K | |
| Initial Inventory | $6K | $9K | |
| Signage | $3K | $6K | |
| Business Licenses and Permits | $725 | $1K | |
| Professional Fees | $1K | $2K | |
| Kitchen Equipment, Internet, Phones, and Computers | $35K | $45K | |
| Business Insurance (3 months) | $1K | $1K | |
| Grand Opening Advertising | $4K | $7K | |
| Additional Funds for First 3 Months | $35K | $45K | |
| Area Development Fee | $80K | $120K | |
| Total initial investment | $263K | $445K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $183K – $325K
- Better than avg vs category
- Liquid capital req'd
- $35K – $45K
- Below avg, review vs category
- Franchise fee
- $40K – $40K
- Below avg, review vs category
- Royalty
- 6.0%
- percentage_of_gross · typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 7.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 1.0% of gross sales |
| Training fee | $500 |
| Transfer fee | $20K |
| Renewal fee | $10K |
| Total fee load | 7.0% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Quick-Service Restaurants averages
How Qazzaz Coffee Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 1
- Opened
- 0
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.0%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 0%
- vs corporate-owned
- Multi-unit owners
- 1.0%
3-year detail · Item 20
- Transfers (3yr)
- 0
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 19 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Qazzaz Coffee presents HIGH RISK due to a one-unit system with zero financial transparency, absence of going concern status, and complete inability to validate investment returns before committing $183K–$325K.
Litigation (Item 3)
No litigation is required to be disclosed in this Item.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Smith, Buzzi & Associates, LLC
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 57 / 100 rating
- 01MINOROnly 1 franchisee unit in system indicates severe lack of scale, validation, and growth momentum
- 02MINORNo average revenue or net income disclosure (Item 19 absent) prevents ROI analysis on $183K–$325K investment
- 03HIGHGoing Concern status is FALSE, suggesting potential franchisor financial instability or operational viability concerns
- 04MINORWide investment range ($142K spread) with no corresponding financial performance data creates opacity around capital requirements
- 05MED6% royalty on undisclosed revenues makes it impossible to model break-even or profitability timeline
- 06MINORSingle unit franchise model offers zero peer franchisee network for support, troubleshooting, or supply chain leverage
- 07MINOR10-year term locks capital into unproven concept with no exit strategy if unit underperforms
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Territory type | Radius |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Territory radius | 5 mi |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 25 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Michigan |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation is required to be disclosed in this Item.
Items 10, 11
Training & Operations
- Classroom training
- 1 hrs
- On-the-job training
- 41 hrs
- Training location
- On-site and corporate
- Ongoing training
- Required
- Time to open
- 8 mo
- From signing to launch
- POS system
- Clover POS System
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Clover POS System
Item 20 · call current owners
Franchisee Contacts
21 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Qazzaz Coffee · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Qazzaz Coffee franchise?
The total investment to open a Qazzaz Coffee franchise ranges from $183K – $325K, with an initial franchise fee of $40K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Qazzaz Coffee franchise owners earn?
Qazzaz Coffee does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Qazzaz Coffee's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Qazzaz Coffee (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many Qazzaz Coffee franchise locations are there?
As of their most recent FDD filing, Qazzaz Coffee has 1 total units in the United States, including 0 franchised units and 1 company-owned units.
Is Qazzaz Coffee a good franchise to buy?
FranchiseVerdict rates Qazzaz Coffee as a B-grade franchise with a risk score of 57 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.